CEL is likewise up 30.77% in past seven days
CEL, the native token of embattled crypto lender Celsius, suddenly jumped over 30% in a new ray of hope for Celsius customers.
The rise yielded intraday highs of $0.72 on Dec. 5 before a retreat occurred. At the time of writing, CEL was trading at $0.64, up 11% in the last 24 hours after erasing some of the previous day’s gains. CEL is likewise up 30.77% in the past seven days.
The reasons for the sudden increase are unknown, but may have been caused “briefly”. Since June, the crypto lender has stopped allowing withdrawals on its platform.
Celsius, which had $12 billion in assets under management earlier in the year, went bankrupt in July after the collapse in cryptocurrency prices triggered a liquidity crisis for the whole industry.
Since seeking Chapter 11 bankruptcy protection, the company has been through bankruptcy proceedings and talks about selling off some of its assets.
In recent news, the bankrupt crypto lender has been granted an extension on its exclusivity period until Feb. 15, 2023. With the court’s approval, Celsius would have a few more months to submit a Chapter 11 restructuring plan.
Customers show a ray of hope
Customers on Celsius Network who had collateral locked on the platform were given some reason for hope when Celsius announced the sale of its asset custody platform GK8 to Galaxy Digital, owned by Mike Novogratz.
More relief may be on the way later this month as bidding will open for Celsius’s lending portfolio. If another company purchases the loans, clients would probably have a chance to repay and then have their collateral released.
